Finding a Compelling Solution for Faster and Error-Free Underwriting

The Challenges

The client came to us seeking solutions for a range of urgent challenges that were affecting their operations and overall efficiency:

• Clean up a significant backlog of loan underwriting.
• Manage an ongoing surge in loan volume.
• Ensure high accuracy levels in underwriting.
• Reduce operational costs.
• Rebuild client confidence to foster long-term relationships.

The Solutions

We started by understanding the client’s workflow through discussions with senior underwriters and client teams via phone calls and webinars. Based on this, we divided the underwriting process into two key phases: the initial underwrite and the final underwrite. The initial phase was designed to detect issues early, allowing only qualified cases to proceed to the final stage.

Our approach included:

• Designing a comprehensive underwriting checklist to ensure accuracy.
• Thoroughly review and validate all data with the borrower.
• Implementing stringent controls for income calculations, property valuations, and documentation.
• Complete data will be entered into the Automated Underwriting System (AUS) to streamline the process.
• We hired 20 certified underwriters based on their experience and trained them in best practices, ensuring they were equipped to make confident, accurate decisions.

Results Achieved

Our solution resulted in substantial improvements across key areas, including:

• Reduced the underwriting turnaround time from several weeks to less than 48 hours. In many cases, files were completed within 24 hours.
• Eliminated the costs associated with recruiting and training new underwriters.
• Reduced overall operational costs by more than 50%.
• Drastically improved the quality of underwriting.
• Strengthened relationships with brokers and borrowers.
• Increased the client’s business volume steadily due to improved efficiency.